Compensation Notes: Definitions & Explanations PDF | Download eBooks
Study Compensation lecture notes PDF with total quality management definitions and explanation to study “What is Compensation?”. Study compensation explanation with TQM terms to review total quality management course for online MBA programs.
Compensation Definition:
Compenstion is to pay or remunerate for some work or to make up for some lack of ability or acuity.
Managing Quality: Integrating the Supply Chain by S. Thomas Foster
Compensation Notes:
It is not possible to have a happy customer every time a product is sold or a service is provided. Expectations are unique to every customer and an organization cannot meet the expectations of each and every customer. Due to this, complaints arise. Complaints can come in different forms, a defective product, behavior of the employee, wrong order etc. One way to resolve a complaint is to offer compensation to the customer. Compensation can be both monetary and non-monetary. A refund can be done or the employee with behavior issue can be made to apologize as compensation. The case of Samsung Note 7 can be considered where the company provided replacement devices as compensation as well as price compensation for the next model.
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